Key stakeholders: Shareholders/ Farmers/ Customers and Consumers/ Government and Civil Society Sectors
Mitr Phol recognizes its crucial role in driving sustainable business growth while balancing economic growth with environmental responsibility. The Company has implemented a climate change management strategy with targets to achieve carbon neutrality by 2030 and net zero emissions by 2050. These goals align with global efforts to reduce carbon emissions and mitigate the impacts of climate change. Mitr Phol’s sustainable development plan encompasses the entire value chain, from upstream to downstream operations. Additionally, the Company promotes innovation and technology development, ensuring its employees are equipped with the necessary knowledge and skills to effectively implement these tools and achieve true sustainability.
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2023 (Baseline)
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2030
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2050
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Target
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Create database for scope 1, 2, and 3 emissions
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Reduce scope 1, 2, and 3 emissions by 90% from the baseline year
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Mitr Phol has carried out climate actions in line with the direction and goals set by the Committee as follows:
In 2023, Mitr Phol conducted a comprehensive assessment of GHG emissions across its entire value chain to establish baseline data for the Company’s GHG management, with the goal of achieving carbon neutrality by 2030 and net zero emissions by 2050. The Company prepared a GHG emissions inventory based on the assessment of the carbon footprint for the organization (CFO) (the year 2050), covering Scope 1, 2, and 3 emissions across all 7 business groups, which was verified by a third party. The GHG emissions for each scope in 2023 are as follows:
The Corporate Sustainability and Digital Transformation teams have collaboratively designed and developed a platform for collecting and calculating the Company’s GHG emissions data, as well as a system for quantifying GHG emissions and removals. This platform serves as a tool for business units to evaluate corporate footprints, identify energy-saving opportunities, and reduce emissions. The data collection and calculation processes comply with the Thailand Greenhouse Gas Management Organization’s (TGO) corporate carbon footprint calculation and reporting standards and the globally recognized GHG Protocol. Additionally, the platform extends to GHG emissions data collection according to the Forest, Land, and Agriculture Guidance (FLAG).
In the future, Mitr Phol plans to develop a comprehensive database system for all its subsidiaries. This system will integrate connected transactions into the Company’s overall GHG emissions assessment, including electricity trading between the sugar and power plant businesses.
The Corporate Sustainability team has developed training programs and organized workshops focused on the assessment of corporate carbon footprint. These sessions are designed for executives and employees involved in sugarcane farming, sugar, energy, fertilizer, wood substitute materials business and other businesses. The objective is to equip employees with the necessary knowledge and understanding of corporate carbon footprint calculation principles. This training will enable them to collect data and assess the corporate carbon footprint, aligning with the organization’s goal of achieving net zero emissions. The programs cover methods for data collection, identification of emission sources, and hands-on workshops on corporate carbon footprint calculation.
Mitr Phol has prepared a TCFD report based on the TCFD framework, enabling the analysis of its business and the formulation of strategies to address climate change challenges, manage significant risks, and capitalize on business opportunities arising from climate change. Additionally, the climate disclosure provides stakeholders with essential information for decision-making in investments and related transactions, assuring them that the company acknowledges climate risks and engages in prudent management.
A label that indicates the total greenhouse gas emissions produced throughout a product's life cycle, from material acquisition, production process, distribution, usage, and waste management at its end of life
A label indicating that the product has passed a carbon footprint assessment and meets the criteria for reducing GHG emissions
8 products are certified.
The certified products are in the groups of white sugar, pure refined sugar, raw sugar, and natural cane sugar.
T-VER is a project that encourages organizations to participate in reducing greenhouse gas emissions in the country. The amount of reduced greenhouse gas emissions, known as carbon credit, can be traded. Mitr Phol has been participating in this program since 2015 until the present.
Renewable Energy Certificate (REC) for renewable power generation, certified by the Electricity Generating Authority of Thailand
Total RECs: 1.3 million RECs/year
Nitrogen is essential for sugarcane; therefore, the crop requires high amounts of this nutrient. However, nitrogen levels in the soil are often insufficient to meet these demands, prompting farmers to add more nitrogen or urea fertilizer. Unfortunately, these fertilizers are typically washed away in the environment before the plants can fully utilize them, resulting in suboptimal nutrient absorption by the plants and nitrogen leaching, which is a major contributor to GHG emissions from sugarcane cultivation.
To reduce these losses, the Mitr Phol Research and Innovation Center has innovated a technology called “Controlled Release Fertilizer (CRF)”. CRF granules will
gradually release nitrogen according to the plant’s needs, ensuring that sugarcane receives consistent nutrients throughout the 270-day (9-month) growing period. A single application of CRF (50 kilograms) is equivalent to applying
2 bags (100 kilograms) of regular fertilizer. This technology reduces the need for excessive chemical fertilizer, minimizes nitrogen leaching, and reduces GHG emissions.
Mitr Phol leverages the globally recognized Bonsucro standards for sustainable sugarcane and sugar production by scaling up environmentally friendly ethanol production. The Phu Khiao Ethanol Plant in Chaiyaphum
Province is the first in Thailand to be certified as a sustainable ethanol producer under the Bonsucro EU-RED standards. This success has been expanded to other plants, including the Kuchinarai Ethanol Plant in Kalasin Province and the Dan Chang Ethanol Plant in Suphan Buri Province. This demonstrates Mitr Phol’s
commitment to producing high-quality ethanol through the sustainable management of sugarcane plantations, production processes, labor practices, and logistics systems throughout the entire value chain from upstream to downstream. Additionally, Mitr Phol monitors greenhouse gas emissions to mitigate the impact of climate change.
Ethanol produced according to sustainability standards is a sought-after raw material in the market and is crucial for the development of environmentally friendly industries, such as the Bio-PE or bioplastic industry and the sustainable aviation fuel (SAF) business, which are experiencing growing global demand. This will enhance the economic competitiveness of the country’s agricultural industrial sector and promote the sustainability and potential of Thai farmers.
Mitr Phol is a producer of bio-compounds using raw materials from agricultural produce or bio-based materials, supplying them to manufacturers of injection and thermoforming bio-packaging products.
PlaneX is made from tapioca starch and bioplastic derived from sugarcane, making it compostable.
CaneX offers compostable food packaging products, including utensils made from tapioca starch and bagasse straws.
Fair and Fast Co., Ltd., a subsidiary of Mitr Phol, which provides logistics and supply chain services, is committed to increasing its fleet of electric trucks each year. In 2023, the Company tested electric tractor units to replace those powered by fossil fuels, specifically for transporting and loading sugar bags at Laem Chabang Seaport in Chonburi Province. The testing evaluated the efficiency and capacity of large electric trucks. This testing received strong support from Banpu Next Co., Ltd., a leading Smart Energy Solutions provider in the Asia-Pacific region, and Thai EV Co., Ltd., a major commercial electric vehicle supplier. They provided electric tractor units with a maximum range of over 350 km on a single charge for the tests. The testing began with large trucks for short-distance transportation and will expand to include all truck sizes and longer distances, such as inter-provincial and inter-regional transportation.
Felled rubber trees after the expiry of latex are used as a raw material in producing wood substitutes. These rubber trees are sustainably managed in accordance with the Forest Stewardship Council (FSC) standards, which ensures control over the entire process, from planting rubber trees to manufacturing and delivering the final products to customers. The rubber trees are planted in areas designated for commercial tree plantations, ensuring that the production of wood substitutes does not harm natural forests or disrupt ecosystems. Furthermore, melamine-coated wood products have received the Singapore Green Label certification, indicating that their manufacturing, utilization, and disposal processes have a lower environmental impact compared to non-certified products in the same category. The product has also earned Greenguard Gold Certification, which recognizes low chemical emissions for construction materials and furniture, aligning with green building standards such as LEED Certification.
TCFD Report 2024
